Should you stay on HDB's 2.6% concessionary loan or refinance to a bank? As at 13 September 2026, HDB-eligible bank fixed packages run from roughly 1.45% to 1.78% p.a., so refinancing still saves real money. POSB's 3-year fixed HDB rate is now 1.78% (the old 1.70% only applied to offers accepted by 31 August), and UOB's online HDB loan promotion closes on 30 September. We compare the 5 best HDB home loan options in Singapore for 2026 (the HDB concessionary loan, DBS/POSB, OCBC, UOB and Standard Chartered), plus the 75% LTV rule that changed how much cash you need upfront.
Should you stay on HDB's 2.6% concessionary loan, or refinance to a bank?
> Quick view (13 Sep 2026): bank fixed rates for HDB flats run 1.45% to 1.78% against HDB's 2.6%. The cheapest rate a bank publishes itself is POSB's 5-year FHR6 at 1.60%, capped at 2.50%. The deadline to watch: UOB's online promo (up to S$2,700) needs an application by 30 September.
The default HDB option, and the one that is not going anywhere. It is pegged 0.1 percentage points above the CPF Ordinary Account rate, which sits at its legislated 2.5% floor for 1 July to 30 September 2026, so the rate has been stable at 2.6% for over a decade. The market formula behind the OA rate computed just 0.32% for February to April 2026, far below the floor, so the quarterly October review is very unlikely to move it. Note the LTV limit was cut from 80% to 75% on 20 August 2024, so HDB no longer lets you borrow more than a bank does and you need 25% down either way. Best for: first-time BTO buyers who want simplicity, a rate that never moves, and the ability to fund that entire 25% from CPF with no cash outlay. Trade-off: roughly 0.8 to 1.15 points dearer than bank fixed packages right now, which is about S$3,200 to S$4,600 a year on a S$400k loan. You can refinance to a bank later, but you cannot switch back to HDB.
Visit websiteSingapore's largest bank, the one most HDB owners default to, and the only one of the five that publishes its HDB rates outright. Two packages, and the cheaper one is the less obvious one. The 3-Year Fixed HDB Loan is 1.78% p.a., up from the 1.70% that applied to offers accepted by 31 August 2026. The 5-Year FHR6 HDB Loan is currently 1.60% p.a., cheaper than the fixed package, and it carries a rate cap that never exceeds 2.50% p.a. for the first five years, with a free package switch after three years. The POSB HDB Loan also charges no penalty fee on partial repayment and none if you sell the property, and refinancing customers get cash rebates covering legal and valuation fees plus free Lasting Power of Attorney certification if they apply by 31 December 2026. DBS's own page sets a S$200,000 minimum loan on both packages. DBS is separately paying HDB refinancers S$2,300 in cash rewards on loans from S$300,000 and S$2,500 from S$500,000, for applications from 1 July to 31 October 2026 with the offer accepted by 31 October. Strongest pick if you already bank with DBS and want everything in one app.
Visit websiteOCBC consistently prices near the front of the local-bank pack on HDB packages, and brokers frequently rank it lowest on total 3-year cost once cashback and legal subsidy are netted off, though the exact winner shifts month to month. Broker tables in early September 2026 showed a 2-year fixed at 1.60% (PropertyNet.SG) to 1.65% (MortgageWise) with a S$400,000 minimum. The features that set it apart are on OCBC's own site rather than in the rate: its SORA package carries the flexibility to prepay up to 50% of the loan amount in the first 2 years, a far larger allowance than the 20% that gets quoted around, plus a free switch to another pricing package after the first year, new loans only. That is real money saved if you expect a year-end bonus or a windfall and want to cut the principal early. OCBC also publishes a promotional 1-month Compounded SORA + 0.98% package for years 1 and 2, reverting to + 1.40%, though its broker-quoted 3-month SORA spread is tighter. Best for: cost-focused borrowers who want flexibility on lump-sum prepayments. Confirm the prepayment allowance in your Letter of Offer, since terms are package-specific.
Visit websiteUOB's pitch is flexibility, and its promotion is currently the most concrete of the five. Apply online for a UOB HDB Home Loan and you get up to S$2,700 in cash and Takashimaya vouchers, including up to S$2,000 in cash for refinancing, for online applications submitted by 30 September 2026 with the letter of offer accepted by 7 October 2026. It is not valid with third-party or agent referrals. The voucher tiers are published: S$200 on a loan of S$300,000 to under S$500,000, S$400 from S$500,000 to under S$1,000,000, and S$700 at S$1,000,000 and above. On rates, UOB publishes only its floating package, a limited tranche at 3-month Compounded SORA + 0.70% for years 1 and 2, + 0.80% in year 3 and + 1.00% thereafter, with a 2-year lock-in and a S$250,000 minimum loan. At the 3M SORA level of 7 September 2026 (about 1.20%) that prices near 1.90%, above the fixed packages here, and it is restricted to new direct-to-bank customers, so a brokered application will not qualify. For anything fixed, UOB asks you to submit a contact form. The flexibility claim is real but specific: one free package conversion after 24 months from first disbursement, per the Letter of Offer. Best for: borrowers who want the online-application perks and the option to switch packages mid-loan without refinancing costs.
Visit websiteWorth knowing about mainly because of a common and expensive mix-up. Standard Chartered's well-known MortgageOne offset account, where linked deposits cancel out loan interest, is for private residential property only and cannot be used on an HDB flat, minimum loan S$100,000. The product HDB owners used to be pointed to was HDB Home Suite, offering fixed, SORA-pegged and fixed-deposit-rate packages with free conversion once the lock-in ended. Check this before you plan around it: as at 13 September 2026, the words 'HDB' and 'Home Suite' appear nowhere on Standard Chartered's mortgages hub, its MortgageOne page or its Green Mortgage page, and the old HDB Home Suite URL returns a 404. The bank's own site now names only MortgageOne, Loan Repricing and Green Mortgage. Brokers still list Standard Chartered fixed and SORA packages for completed properties, and the terms they quote are a minimum loan of S$100,000, up to 75% of the purchase price, borrowers aged 21 to 65, and minimum annual income of S$30,000 for Singaporeans and PRs (S$36,000 for foreigners). Best for: borrowers already banking with Standard Chartered who are willing to ask a mortgage banker directly. Everyone else should confirm an HDB package exists before counting on it.
Visit website| Lender | Headline rate | Min. loan | Lock-in | The catch |
|---|---|---|---|---|
| HDB Concessionary | 2.6% p.a., unchanged | None | None | Dearest rate here, but the 25% downpayment can come entirely from CPF with no cash. You can leave for a bank later, never come back |
| DBS / POSB | 1.78% 3-year fixed; 1.60% on the 5-year FHR6 package, capped at 2.50% for 5 years | S$200,000 (DBS's own page) | 3 years (fixed) or 5 years (FHR6) | The 1.70% ended with offers accepted by 31 Aug 2026. No penalty on partial repayment or on sale |
| OCBC | 1.60% to 1.65% 2-year fixed (broker); 1M SORA + 0.98% published on OCBC's own site | S$400,000 at the broker rate | 2 years | Prepay up to 50% of the loan in the first 2 years, and switch package free after year 1, but new loans only |
| UOB | 3M SORA + 0.70% for years 1 to 2 (about 1.90% at 7 Sep SORA); fixed rates quoted privately | S$250,000 | 2 years | The SORA package is a limited tranche for new direct-to-bank customers. The online promo needs an application by 30 Sep and acceptance by 7 Oct 2026 |
| Standard Chartered | Quoted per profile, nothing published | S$100,000 (broker-quoted) | Varies | Standard Chartered no longer names any HDB product on its own site. MortgageOne, the offset account, is private property only |
| HSBC and Maybank (not ranked here) | HSBC 1.45% 2-year fixed, the lowest HDB fixed rate on PropertyNet.SG's September 2026 table; Maybank showed 1.45% to 1.65% on late-August broker tables | Not published on the broker table (Maybank: S$200,000) | 2 years | Maybank's 1.45% floor needed a qualifying deposit of roughly S$30,000 to S$50,000, and Maybank is not in September's top three HDB fixed rates, so ask for a fresh quote |
That 2.6% is not arbitrary. It is pegged at 0.1 percentage points above the CPF Ordinary Account rate, and the OA is at its legislated 2.5% floor for 1 July to 30 September 2026. The market formula behind the OA rate, the 3-month average of the major local banks' rates, computed just 0.32% for February to April 2026, so the floor is binding by a very wide margin. HDB reviews the rate every January, April, July and October, but on those numbers October is not going to change anything.
Comparison portals lead with 1.35% to 1.40%. Those are private-property and large-loan tiers: PropertyNet.SG's September 2026 table gives its 1.39% and 1.40% headlines for private condos, and MortgageWise's own page title (7 September 2026) puts a S$600,000 minimum loan on its 1.40% rate. At a realistic HDB loan size the picture is different: OCBC's 2-year fixed at 1.60% to 1.65% carries a S$400,000 minimum, DBS's 2-year fixed at 1.65% a S$500,000 minimum, and POSB's HDB packages a S$200,000 minimum at 1.60% to 1.78%. A typical HDB borrower is quoted the higher band.
The old advice that Singapore banks never publish HDB rates is only half right, and the half that is wrong costs you a phone call:
| Bank | Published on its own site | Not published |
|---|---|---|
| DBS / POSB | 3-Year Fixed HDB at 1.78%; 5-Year FHR6 HDB at 1.60% with a 2.50% rate cap; S$200,000 minimum loan | Nothing material |
| UOB | 3M Compounded SORA + 0.70% (years 1 to 2), + 0.80% (year 3), + 1.00% thereafter | All fixed rates, quoted by contact form |
| OCBC | 1M Compounded SORA + 0.98% (years 1 to 2), + 1.40% thereafter | Its fixed rates |
| Standard Chartered | Nothing, and no HDB product is named at all | Everything |
The catch runs the other way from what you would expect: broker tables show tighter spreads for the same banks than the banks post publicly, because rates are tiered by loan size, income and tenure. Treat a website rate as a ceiling.
For reference when you price a floating package, SORA was around 1.20% (3-month compounded) and 1.33% (1-month) as at 7 September 2026, per MAS figures reproduced in MortgageWise's rate table. Both rose from late August. So UOB's published 3M SORA + 0.70% works out near 1.90% and OCBC's 1M SORA + 0.98% near 2.31%, both above the fixed packages, which is why the fixed side is winning right now.
HDB used to let you borrow more. It no longer does. Since 20 August 2024, HDB concessionary loans are capped at 75% loan-to-value, the same as bank loans, so both need a 25% downpayment. The real difference is cash: HDB's 25% can come entirely from CPF, while a bank loan requires at least 5% of the price in cash, and its rate can move once the fixed period ends.
Bank loans are cheaper. As at 13 September 2026, HDB-eligible bank fixed packages run from roughly 1.45% to 1.78% p.a. against HDB's 2.6%. On a S$400k loan, a gap of 0.8 to 1.15 points is roughly S$3,200 to S$4,600 a year in interest. The deciding factor is usually cash, not the loan-to-value limit: since 20 August 2024 both HDB and bank loans cap out at 75% LTV, so both need 25% down. The difference is that HDB's 25% can come entirely from your CPF Ordinary Account, while a bank loan requires at least 5% of the price in hard cash. Pick HDB if you do not have that cash on hand or you want a rate that never moves. Pick a bank if you have the cash, can stomach floating-rate risk once the fixed period ends, and want to save on interest. You can refinance HDB to bank later, but not the other way.
On the numbers as at 13 September 2026, the cheapest HDB fixed rate on PropertyNet.SG's September table is HSBC's 2-year fixed at 1.45%, followed by OCBC's 2-year fixed at 1.60% and Hong Leong Bank at 1.65%. Those are broker figures, so treat them as indicative and ask for a formal quote. Maybank showed 1.45% to 1.65% on late-August broker tables, but its 1.45% end required a qualifying Maybank deposit of roughly S$30,000 to S$50,000, redeeming inside the 2-year lock-in cost 0.75% to 1.50%, and it is not among September's top three HDB fixed rates. The cheapest number a bank publishes on its own site is POSB's 5-Year FHR6 HDB Loan at 1.60% p.a., which also caps the rate so it never exceeds 2.50% for the first five years and lets you switch package free after three years. POSB's 3-year fixed sits at 1.78%. Ignore the 1.35% to 1.40% headlines on comparison portals: those are private-property or large-loan tiers (MortgageWise's own page title puts a S$600,000 minimum on its 1.40% rate), which a typical HDB borrower will not be quoted.
Almost certainly not. The HDB concessionary rate is pegged at 0.1 percentage points above the CPF Ordinary Account rate and is reviewed every January, April, July and October. The OA rate is itself the higher of a market formula (the 3-month average of the major local banks' interest rates) and a legislated 2.5% floor. CPF's own page gives that formula's result as 0.32% for the period from February to April 2026, which is nowhere near the floor, so the OA stays at 2.5% and HDB stays at 2.6%. That has been the position for over a decade. As at 13 September 2026, CPF has published rates only up to 30 September 2026; the October to December figures are usually announced in the second half of September. Plan on 2.6% and treat any change as the surprise, not the base case.
Some do, and the ones that do not are the ones you have to ask about. DBS publishes both POSB HDB packages outright: 1.78% on the 3-Year Fixed and 1.60% on the 5-Year FHR6 loan, with a S$200,000 minimum loan. UOB publishes a promotional floating package at 3-month Compounded SORA + 0.70% for years 1 and 2, but tells you to fill in a contact form for anything fixed. OCBC publishes a 1-month Compounded SORA + 0.98% promotional package. Standard Chartered publishes no rate and, as at 13 September 2026, does not name an HDB product on its mortgages hub at all. The important part is that the published numbers are generally the worst you will be offered: broker tables for the same banks show tighter spreads (PropertyNet.SG's September table lists a UOB HDB floating package at 3M SORA + 0.25% against the + 0.70% on UOB's own page), because rates are tiered by loan size, income and tenure. Treat a website rate as a ceiling and get at least two formal quotes in the same week.
Yes. HDB loan to bank loan is allowed at any time without penalty. Bank-to-bank refinancing is also common, typically every 2 to 3 years when the lock-in period ends. Watch out for minimum loan size (many banks want around S$200,000 to consider you, and Maybank and POSB both set S$200,000, while UOB's published SORA package wants S$250,000), legal fees of S$1,800 to S$3,000 unless the bank covers them, and existing lock-in penalties, usually around 1.5% of the outstanding loan if you refinance inside the lock-in. Two refinancing promotions are live as at 13 September 2026: UOB is giving up to S$2,000 in cash for refinancing as part of a package worth up to S$2,700, for online applications submitted by 30 September 2026 with the offer accepted by 7 October, and DBS pays HDB refinancers S$2,300 in cash rewards on loans from S$300,000 and S$2,500 from S$500,000, for applications from 1 July to 31 October 2026.
25% either way. The old 20% figure for HDB loans is out of date. With effect from 20 August 2024 the LTV limit on HDB concessionary loans was cut from 80% to 75%, matching bank loans. What still differs is how you pay it. With an HDB Concessionary Loan: 25% downpayment, all fully payable from your CPF Ordinary Account, no cash required. With a bank loan: 25% too, but at least 5% of the purchase price must be in cash, with the remaining 20% from CPF or cash. Stamp duty (BSD, plus ABSD if applicable) is on top. For a S$500k flat, an HDB loan needs S$125k down and CPF can cover all of it; a bank loan also needs S$125k, of which S$25k must be cash and S$100k can come from CPF.
Three ceilings apply, and the lowest one wins. First, LTV: a maximum of 75% of the purchase price or valuation (whichever is lower) for both HDB concessionary and bank loans, since the 20 August 2024 change. Second, MSR: your monthly mortgage repayment cannot exceed 30% of your gross monthly income, which applies to HDB flats and to ECs bought from developers. Third, TDSR: all your monthly debt obligations combined, including car loans, personal loans and credit card minimums, cannot exceed 55% of gross monthly income. In practice MSR is the binding constraint for most HDB buyers, so clearing existing debt before you apply often raises your loan quantum more than shopping for a lower rate does.
No. MortgageOne, the offset account where cash in a linked savings account cancels out the interest on your loan, is restricted to private residential property with a minimum loan of S$100,000. Standard Chartered's own product page describes it for private residential property, so an HDB flat does not qualify no matter how much cash you park. This trips up a lot of buyers, because MortgageOne is the Standard Chartered mortgage most people have heard of. The bank's HDB-specific product used to be HDB Home Suite, but as at 13 September 2026 the words 'HDB' and 'Home Suite' appear nowhere on Standard Chartered's mortgages hub, its MortgageOne page or its Green Mortgage page, and the old product URL returns a 404. If offsetting is the specific feature you want, no local bank currently offers a true offset account on HDB loans; you would need to be buying private property.
